The Charleston-based company that leads the nation in rental property management recently added to its ownership stake, as a fund it leads purchased Plano, Texas-based Monogram Residential Trust in a deal valued at $4.4 billion.
Greystar added 48 multifamily communities, comprising 13,438 apartment homes, in 10 states with the purchase of publicly-traded Monogram in mid-September. The precise buyers were Greystar Growth and Income Fund LP, led by Greystar Real Estate Partners and its initial founding capital partners; affiliates of APG Asset Management N.V.; GIC; and Ivanhoé Cambridge.
“This acquisition is highly strategic for Greystar and furthers our mission to be the global leader in rental housing,” Greystar founder Bob Faith says. “We are pleased that this acquisition will seed Greystar Growth and Income Fund, LP, Greystar's first perpetual-life fund and thrilled to have such tremendous groups as our partners and investors," says Faith, who is also Greystar chairman and chief executive.
Officers with Greystar's purchase partners, including APG Asset Management, GIC Real Estate and Ivanhoe Cambridge, likewise were thrilled with the acquisition.
And the Monogram Residential board and management team believes the deal maximizes value for stockholders and partners,” says Mark Alfieri, Monogram's chief executive, president and chief operating officer. “The valuation achieved is a testament to the quality of the portfolio and operating platform,” he says.
Greystar calls itself the largest apartment operator in the U.S. and oversees 425,000 rental units in more than 140 markets across the globe valued at $80 billion.